12 July 2024
When an articled assistant transfers from one firm to another within one year, typically, there is no specific period bond paper required to be executed. However, there are some general considerations and practices to keep in mind:
1. **No Additional Bond Required**: The Institute of Chartered Accountants of India (ICAI) does not mandate the execution of a new bond or agreement for a transfer occurring within one year. The initial training agreement or bond executed at the beginning of articleship usually remains valid.
2. **Transfer Procedure**: The transfer of articleship within one year should be done in accordance with the guidelines of ICAI. This involves obtaining a No Objection Certificate (NOC) from the current Principal and submitting Form 109 to the regional office of ICAI.
3. **Bond Validity**: The terms and conditions of the original articleship bond continue to apply unless explicitly modified by mutual agreement between the articled assistant and the new Principal.
4. **Consultation**: It's advisable for both the articled assistant and the new Principal to discuss and clarify any expectations or conditions regarding the transfer of articleship. This can include roles, responsibilities, and expectations for the remaining period of articleship.
5. **Documentation**: While no new bond is required, it's essential to maintain proper documentation of the transfer process, including copies of the NOC, Form 109, and any correspondence related to the transfer.
In summary, when transferring articleship within one year, the focus is on fulfilling procedural requirements (like obtaining NOC and submitting Form 109) rather than executing a new bond. Ensure that the transfer is conducted in accordance with ICAI guidelines and that all parties involved are aware of their responsibilities during the remaining articleship period.
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